Blockchain technology is helping Brazil reduce the impact of deforestation


 206 total views

JBS SA, a large meat processing company, is said to have been repeatedly criticized for contributing to illegal logging of the Amazon rainforest. In response to this problem, they are now using blockchain technology to create a unique solution.

According to a Reuters report on September 23, JBS stated that it plans to launch a blockchain-based traceability system for its meat supply chain to ensure that it does not purchase livestock from farms known to have illegally cut trees.

The company previously only monitored the terminal chain in the meat supply chain, which means that any of the 50,000 ranches in Brazil reported to have business with JBS could buy cattle from indirect suppliers suspected of illegal deforestation. . A July report by the British news media “The Guardian” stated that the company has maintained contact with at least one indirect supplier that has been sanctioned for reducing the area of ​​the Amazon to increase the size of its farms.

After these reports came out, JBS CEO Gilberto Tomazoni stated that the company plans to use its blockchain tracking system to monitor all indirect herd suppliers by 2025.

He said: “At present, the company does not monitor indirect suppliers, and no other company does this, but we plan to use technology to close this gap.”

The meat processing company plans to launch the technology in the Brazilian state of Mato Grosso in 2021, which is reported to account for 31% of the Amazon area deforested in the past 20 years.

JBS has developed a similar tracking program to provide subsidiaries outside Brazil with data on its meat supply chain. In November last year, the company’s Australian branch and a Sydney-based startup Lumachain jointly created a “ranch to plate” system.

Disclaimer: does not endorse any content or product on this page. While we aim at providing you all important information that we could obtain, readers should do their own research before taking any actions related to the company and carry full responsibility for their decisions, nor can this article be considered as investment advice or recommendations. Every investment and trading move involves risk, you should conduct your own research when making a decision.